Folks, An easy way to stop GREED; By USING your CALCULATOR! Simply multiply the PRICE (what you paid per share) TIMES 1.percent, (like 1.2 for 20%, or 1.4 for 40%) Then SET that LIMIT SELL ORDER at that CALCULATED PRICE.
EXAMPLE:
Pacer Technologies (PTCH) price $1.9/32
Assume we BUY 7,000 shares of PTCH . IF we are BUYING for a quick profit on a small run up, because of some GOOD news, we shoud be satisfied with a few days profit of 20% or less. IF we believe PTCH is a QUALITY Blue Cheap Stock (And I SURE DO)then we may want to HOLD a portion or take those quick profits, using them to BUY MORE PTCH IF it falls back, thus OWNING MORE of a QUALITY stock.
For this example lets assume we want to HOLD 2,000 PTCH and Blue Cheap TRADE the remaining 5,000.
If we pay the current asking price of $1. 9/32= $1.28125
and want 20%. $1.28125 X 1.2= $1.5375, thats very close to $1.17/32, so we just place that LIMIT SELL on 5,000 shares at $1.17/32
We would have made a profit of $1,250 less com.
SIMPLE: Price paid per share times 1. your choice of percent. (1.1=10%; 1.2=20%; 1.3=30% or even 2.2=120%)
I realize full well that this is VERY elementry, but SO many times WE ALL get to counting how much we have made at the moment instead of LOOKING AT PERCENTAGES,(Called GREED). When I created this thread, I did so in hopes of being a HELP because of MY personal past experience. I've made this statement many times and believe it VERY ACCURATE. Investors who invest in QUALITY Blue Cheap Stocks, will loose MUCH more because GREED than they EVER will because of HAVING to sell a stock for LESS than they PAID. FAILING TO TAKE THOSE PROFITS WHEN THE OPPORTUNITY EXIST.
There are small investors like myself who simply cannot trade like others here for LACK of investment capitol and/or experience, plus TIME to WATCH the stocks they have bought. SO, if this FITS you, then YOU are precisely the ONE I am trying to help with what little Blue Cheap Stock TRADING knowledge I have acquired. I just know, HOW very Important those , LIMIT SELL ORDERS are,ESPECIALLY, if your work does not allow you to follow your investment by the minute. Thus, looking at PRECENTAGES and NOT being GREEDY at least has been a Blue Cheap Stock TRADING Strategy which has worked VERY well for me.
So, as I trade stocks, I also desire to help the SMALL INVESTOR like MYSELF. However, you should NOT use these statements to BUY or SELL, I am NOT an Investment advisor. These are my strategies based on personal experience and opinions. You must make your own investing decisions.
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